Talk Morgan Forums Community The Malvern Arms MMC price increase

Just had this email from BHM via Hopmog

It is with a great deal of regret that I have to advise you that, just yesterday, the Morgan Motor Company announced a further price increase on all new cars of 5% with immediate effect. Traditionally there has been a price increase annually (either January or April) but this year they seem to have found it fit to spring an additional increase on top of the 1st April rise which we have already seen! We have negotiated a 2 week “window” to conclude those sales we have been communicating about so I thought that morally we should alert as many of our loyal customers as possible in case they are thinking of an imminent purchase! I am also concerned that a rush of orders as a consequence may have a detrimental effect on delivery dates.

“In real life” this increase will affect the price of a 3 wheeler by about £1500, a 4/4 by about £1800, a +4 by about £1900, a Roadster by £2400 and a plus 8 by £3800 so not small sums!

8% price rise within 4 months.
To pay for the new management team perhaps?
I can't imagine it will be aparent in increased build quality.

Phew. Sarah told me about this today. I've had a lucky escape then!

Thats a big increase in such a short time. Pleased our car is actually in build. Is this a knock on from changes to currency re the recent referendum ?

Graeme

This is inevitable. Last June 22 the euro to pound ratio was 0,76, today it is 0,86.

This means that the lucky euros that have ordered a m3w before the referendum will now pay (VAT included) about 44.000 euros, and not the 50.000 they had as budget.

And that's 15 days later. The pound today reached new historic lows, we still don't know where it'll bottom or at least level.

Thats not great news for anyone thinking of taking the plunge but i guess helps shore up residuals of existing cars. Makes the special deal last winter on plus 4s where all the extras could be had for a fixed, but reduced , price seem like outstanding value.

not sure why there is a need to increase prices again so soon. I aporeciate imported parts for the cars will be costing more due stirlings drop so i suppose that might be behind it. I am pretty sure the company wont like hiking prices so much but i guess they have too. However i hope it doesnt hurt sales, my guess is it wont help in what must be becoming a harder marketplace.

There is still lots of spare cash around with low interest rates and pension releases. The second homes are still selling down here like ice creams on a summers day at 300K and upwards.

People always will "find" money for toys.

what about the Aero 8?

There might be reasons to compensate for parts which have to be imported. And MMC may think, that concerning exported cars, the continental Euro based purchasers will not suffer too much recently. But on the long run I would say it is the wrong policy to make a product more and more expensive, and therefore out of reach for those younger potential buyers where the awareness of the brand fades away anyway. The rise of prices from 2015 to 2016 was quite impressive by itsself. A 4/4 basic car was offered for 30K incl. VAT in 2015 in the UK. 2016 it was 35K. And now we see a serious rise of price tag again. There is definitely a threshold where the potential purchaser will say, to buy or not to buy.

That was my thought exactly Heinz